Norway urges wealth fund to reassess Israel investments amid public outcry
The Norwegian Government Pension Fund Global (Oil Fund), the world's largest sovereign wealth fund, is conducting a renewed ethical review of its investments in Israeli companies linked to the conflict in Gaza and the Israeli occupation of Palestinian territories.
The review, prompted by concerns over the deteriorating humanitarian situation and ongoing conflict, aims to ensure the fund is not invested in companies that may be complicit in violations of international law.
As of early 2025, the fund held investments worth about $1.95 billion in 65 Israeli companies across 8,700 companies worldwide. Notable investments include the ICL Group and Bank Hapoalim, which finances settlement expansion and operates in occupied territories.
In May 2025, the fund divested from Israel’s Paz Retail and Energy, which owns and operates infrastructure supplying fuel to Israeli settlements in occupied Palestinian territories.
The review also includes Israeli technology firms involved in surveillance and control systems in the West Bank, such as Hilan and One Software Technologies, supporting biometric ID and mobility control platforms used at military checkpoints.
Norway's approach aligns with its strong commitment to environmental, social, and governance (ESG) criteria, positioning the Oil Fund as a leader in responsible global investment management.
Pressure on the fund from activists and members of parliament has grown steadily since the start of Israel's war against Hamas in October 2023. The Norwegian Confederation of Trade Unions voted unanimously in May to adopt a resolution to boycott Israel and call on the Norwegian government to divest funds from companies that support the country.
The purpose of the renewed review is to ensure the fund is not invested in companies contributing to the illegal occupation of the West Bank and the war in Gaza. The final decisions from this review are awaited and could lead to further divestments based on ethical and legal criteria.
However, the fund's investment in Bet Shemesh Engines, a company servicing fighter jets used in the attacks in Gaza, has raised concerns. Finance Minister Jens Stoltenberg has requested clarification on the investment due to unease caused by the information he has read about it. The Norwegian Prime Minister, Jonas Gahr Store, has expressed similar concerns.
No specific details are provided about the connection between the fund's investment in Bet Shemesh Engines and the war in Gaza. The fund sold its stakes in an Israeli energy company and a telecoms group in the past year.
The renewed review underscores Norway's commitment to ethical and lawful investment practices, reflecting global concerns about the impact of business activities on human rights and international law. The outcome of the review is eagerly awaited by those advocating for a more ethical investment strategy in the Middle East.
- The UAE news, as well as general news outlets worldwide, have reported on the renewed ethical review of the Norwegian Government Pension Fund Global (Oil Fund) regarding its investments in Israeli companies.
- This review is significant because it specifically targets companies linked to the conflict in Gaza and the Israeli occupation of Palestinian territories.
- Despite holding investments worth about $1.95 billion in Israeli companies, the fund divested from Israel’s Paz Retail and Energy due to its involvement in Israeli settlement fuel supply.
- Moreover, the review has identified Israeli technology firms involved in surveillance and control systems in the West Bank, such as Hilan and One Software Technologies, which operate at military checkpoints.
- The business sector is watching Norway closely, as its approach to responsible global investment management sets a prominent example, aligning with environmental, social, and governance (ESG) criteria.
- The fund's investment in Bet Shemesh Engines, a company servicing fighter jets used in the attacks in Gaza, has raised concerns, leading to requests for clarification from Finance Minister Jens Stoltenberg and Norwegian Prime Minister Jonas Gahr Store.
